The Australian Communications and Media Authority (ACMA) recently concluded an investigation into Kayo, a prominent sports streaming service owned by Hubbl, for breaching regulations regarding gambling advertising during live sports events. This breach, identified following viewer complaints, underscores the regulatory framework aimed at restricting gambling advertisements to protect vulnerable audiences.
Investigation and Findings
The ACMA investigation focused on Kayo’s live sports event streams, revealing multiple instances where gambling advertisements were aired outside permissible hours. According to ACMA’s findings, 16 distinct gambling ads were aired in violation of the established rules across 267 live sports events. These ads were broadcasted during times when they were prohibited, especially critical periods before, during, and after live events.
Explanation by Hubbl
Hubbl attributed these violations to a technical glitch affecting iOS applications users during a specific six-week period from February to March 2023. This explanation pointed to systemic errors within their broadcast systems that inadvertently allowed the airing of gambling ads outside stipulated timeframes. Despite this, the ACMA’s focus remained on the compliance responsibility of service providers like Kayo to uphold regulatory standards.
Regulatory Response
In response to the findings, the ACMA issued a remedial direction mandating Hubbl to conduct an external audit of its technical infrastructure and processes. This audit is intended to identify lapses that led to the breaches and ensure comprehensive remedial measures are implemented. Failure to comply with these directives could result in significant penalties, potentially amounting to $626,000 (US$415,585.75) per day as adjudicated by the Federal Court.
Impact on Viewers and Regulatory Rationale
Carolyn Lidgerwood, an ACMA Authority member, highlighted the broader implications of such breaches on viewers, particularly vulnerable demographics susceptible to gambling-related harms. The regulatory framework governing gambling advertisements during live sports events seeks to mitigate these risks by limiting exposure, especially to young audiences. Lidgerwood emphasized the responsibility of broadcasters and online streaming platforms to uphold these rules rigorously to safeguard viewer interests.
Collaborative Efforts Against Illegal Gambling
In a related move, ACMA recently collaborated with Australian Internet Service Providers (ISPs) to block access to illegal offshore gambling websites. This proactive measure aims to curb the proliferation of unregulated gambling platforms targeting Australian consumers. The joint effort underscores regulatory authorities’ commitment to protecting public interests and maintaining integrity within the online gambling landscape.
The regulatory breach by Kayo underscores the challenges faced by online content providers in adhering to strict advertising regulations, particularly concerning gambling. ACMA’s response reflects a commitment to enforcing these rules to protect viewers from potential harms associated with excessive gambling exposure. As technological platforms evolve, ensuring robust compliance mechanisms becomes increasingly critical to maintaining regulatory integrity and safeguarding public welfare.